Kestra Financial to expand with iCapital’s Alternative Investment Platform

Kestra Financial is reportedly expanding its strategic partnership with iCapital to “improve its alternative investment offerings.” This collaboration is for Kestra Financial advisors and their clients to access alternative investments through iCapital’s technology platform.

Kestra and iCapital have reportedly partnered for the past five years to provide customer’s access to alternative investment products.

iCapital, a fintech platform, offers a platform for alternative investments, including private equity, private credit, hedge funds, structured investments, and other alternatives.

iCapital will reportedly provide Kestra Financial advisors with a broader selection of alternative investments, including private equity, private credit, real estate, infrastructure, and hedge funds and lower minimum investment thresholds, among others.

What is an Alternative Investment? 

An alternative investment is considered any investment that doesn’t fall within the traditional stocks and bonds category. Most alternative investments have fewer regulations from the Securities and Exchange Commission (SEC) and are typically illiquid. While historically aimed at institutional or accredited investors, alternative investments have become more popular with retail investors through alternative funds.

Alternative Investment Sales in 2023 

Alternative investments are big business with fundraising totaling $44.3 billion year-to-date through August, led by interval funds at $12.1 billion, private placements at $11.3 billion, non-traded business development companies at nearly $11.0 billion and non-traded real estate investment trusts at $8.6 billion, according to the DI Wire sourcing the latest data provided by investment bank Robert A. Stanger & Co.

Complex Investment Products

Unfortunately, sometimes alternative investment products created for wealthy, experienced investors are also sold to elderly or unsophisticated investors. These investments are typically highly complex and difficult to understand. They may have significant commissions and sales charges or fees that benefit the broker, but not the investor.

Alternative Investment Examples:

1031 Delaware Statutory Trust (DSTs)
Equipment Leasing Funds
Exchange-Traded Funds (ETFs)
Hedge Funds
Interval Funds
Master Limited Partnerships (MLPs)
Mortgage-Backed Securities (MBS)
Non-traded Business Development Companies (BDCs)
Non-Traded Real Estate Investment Trusts (REITs)
Oil and Gas Limited Partnerships
Private Equity
Private Placements under Regulation D (Reg D Private Placements)

Hiring a Securities Attorney

The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm dedicated to helping investors in claims in all 50 states against their financial professional or brokerage firm. Since the firm launched in 2010, it has handled over 700 FINRA arbitration cases. With offices in Chicago, Illinois and Seattle, Washington, we help investors throughout the country in claims against their brokerage firms.

Our firm represents investors in all types of securities related claims, including claims involving stock fraud, broker misrepresentation, churning, unsuitable investments, selling away, and unauthorized trading, among many others.

If you have concerns regarding your alternative investments and would like to speak with a securities attorney, please call The White Law Group at 888-637-5510.